Text 1: Behavioral economist Dr. Lisa Yang studies financial decisions. "Automatic enrollment in retirement savings dramatically increases participation," Yang reports. "Nudges that change defaults help people overcome present bias without restricting choice."
Text 2: Libertarian theorist Dr. Robert Kane opposes paternalistic design. "Even 'soft' paternalism like nudges manipulates behavior," Kane argues. "Citizens deserve neutral choice architecture. Well-intentioned manipulation remains manipulation."
Which statement captures a key assumption Kane would attribute to Yang's approach?
That experts know better than individuals what choices serve their interests
That retirement savings have no financial value
That present bias doesn't actually exist
That manipulation should be transparent to those affected
Correct Answer: A
Choice A is the correct answer. Kane objects to manipulation because it implies someone else (expert) knows better than the individual. Yang's nudges presume people's actual choices don't reflect true interests.
- Evidence: Kane wants "neutral choice architecture"—no expert steering.
- Reasoning: Nudges assume designers know better than choosers.
- Conclusion: Kane sees paternalistic expertise assumption underlying nudges.
Choice B is incorrect because both acknowledge savings' value. Choice C is incorrect because Kane objects to the response, not the diagnosis. Choice D is incorrect because Kane opposes all manipulation, not just hidden.